As the banking industry continues to navigate economic volatility and rapid technological advances, community banks like C3bank in Southern California are stepping up as leaders in the commercial real estate (CRE) sector. During a recent BankTech Ventures (BTV) webinar, Shayne Skaff, CEO of Blooma, and A.J. Moyer, President of C3bank, sat down for a thought-provoking discussion about how their partnership is shaping the future of CRE lending and highlighting the pivotal role technology plays in ensuring resilience, agility, and growth.
C3bank, a mainstay in Southern California’s banking community, has a history spanning over four decades. Originally a small community bank, C3 was acquired with a bold vision: to become a premier CRE bank with a focus on bridge and construction lending. Under A.J. Moyer’s leadership, C3 has grown from $100 million to nearly $900 million in assets, maintaining a predominantly digital and entrepreneurial spirit. A.J.’s background in consumer products has been instrumental in shaping C3’s forward-thinking approach to technology and innovation, positioning the bank as a pace-setter in the industry.
At the same time, Shayne Skaff and Blooma’s founding partner, Mike Persall, recognized the untapped potential to transform CRE lending through technology. They saw an opportunity to harness AI to address inefficiencies in the loan origination and portfolio management process, bringing real-time data and insights to the forefront. What began as a visionary concept quickly took shape with the partnership of C3bank.
A.J. and his team became early partners in this mission, offering their expertise and resources to help shape Blooma into a platform that addressed the real-world challenges of modern lenders. As a leader with a unique drive to make substantive change, A.J.’s innovation mindset was critical in bringing the idea of Blooma to life. This collaboration ensured that Blooma was designed to not only solve operational inefficiencies but to provide a flexible, scalable solution adaptable to the evolving needs of the industry.
As the CRE landscape changed, so did Blooma’s focus. Originally created to streamline the loan origination process, the pandemic-induced slowdown in originations led Shayne and his team to pivot toward Portfolio Intelligence. This shift allowed Blooma to help banks manage their portfolios in real-time, providing crucial insights into risk and performance as interest rates began to climb in 2023.
At its core, Blooma helps lenders streamline their processes, reduce manual work, and gain access to critical data on demand—an essential capability in today’s financial landscape. Shayne emphasized that while Blooma drives efficiency, the real value lies in how the platform empowers teams to focus on the “art” of their work. By automating tedious tasks, Blooma frees up time for higher-level decision-making, allowing professionals to concentrate on the nuanced, human aspects of their jobs.
C3bank’s partnership with Blooma is just one example of the bank’s commitment to innovation. As a specialized business depository bank, C3 has become a leader in bridge and construction lending, utilizing technology to stay ahead of market trends. The bank has embraced digital tools to manage portfolio risks, including interest rate risk, liquidity, and concentration risk, all of which have been at the forefront of their strategy in recent years.
In 2022 and 2023, C3 pivoted alongside Blooma to focus on identifying vulnerabilities within their portfolio. A.J. explained that in today’s market, banks must go beyond annual audits and have real-time access to portfolio data to anticipate risks before they escalate. This level of agility is crucial in a market where external factors—like fluctuating interest rates—can dramatically shift the lending landscape.
As lending begins to pick up again, particularly in response to recent rate adjustments, C3bank is poised to lead the way in originating loans while maintaining a sharp focus on portfolio management. A.J. noted that while short-term interest rates are driving more lending activity, long-term rates will still influence pricing and decisions, making it essential for banks to have the right tools to adapt.
The conversation highlighted one of the most transformative forces in modern banking: artificial intelligence (AI). While AI’s rapid rise has sparked concern in the industry, both Shayne and A.J. see its potential to revolutionize CRE lending—particularly in areas like data aggregation, analysis, and operational efficiency.
At C3bank, AI has been seamlessly integrated into their workflow, helping manage portfolio concentrations and aggregate tenant profiles, even in the face of a volatile CRE market. But as Shayne pointed out, the biggest challenge for CRE lenders isn’t an unpredictable market—that’s always been a given. The real risk lies in a culture that resists change and lacks the urgency to adapt when change is needed. While strides are being made, there’s still work to be done. That’s why Blooma takes a careful approach to implementing AI, keeping it behind the scenes to support automation, while using a human-in-the-loop model to bridge the gap of trust between users and the technology. This hybrid approach ensures that the AI assists without overwhelming users, allowing them to grow more comfortable with it over time, while still maintaining control over key decisions.
A.J. echoed this sentiment, explaining that Blooma’s true value for C3bank lies in the consistency and standardization it brings to their processes. Even when following the same procedures, individual interpretations can vary—leading to inconsistencies in decision-making. Blooma helps eliminate that variability, ensuring more reliable, repeatable outcomes. This not only saves time but also reduces the risks tied to human judgment, allowing underwriters to focus on the more nuanced, complex aspects of their work.
“The technology has come a long way,” A.J. noted, “but there’s still so much rich intellectual knowledge in the underwriters. Today, AI helps amplify that knowledge, getting us to the right decisions faster while enabling our teams to focus on what they do best.” By automating data-heavy tasks, AI frees up time for underwriters to engage with the more sophisticated, judgment-based components of their roles—where human expertise truly shines.
As the banking landscape continues to shift, both Shayne and A.J. emphasized the importance of flexibility and innovation in navigating these changes. A.J. described how C3bank’s decision-making process is driven by the need for operational efficiency and accuracy, particularly given the tight budgets and resource constraints of community banks. For C3, investing in technology like Blooma has allowed them to achieve efficiencies without hidden costs—ensuring that each technology investment delivers measurable value.
For Shayne, the future of Blooma is about staying agile. The platform’s light and flexible architecture allows it to integrate with existing systems without the need for a complete overhaul, making it easy to implement and scale. This flexibility has made Blooma a critical tool for banks looking to adapt quickly to changing market conditions.
As C3bank continues to set the pace for innovation in Southern California’s CRE market, their partnership with Blooma exemplifies what can be achieved when technology and banking work in harmony. Together, they are not just weathering the storms of a volatile market—they are thriving.